Meralco to increase rate due to TRAIN
- Alvin Ilustrisimo
- Jan 10, 2018
- 1 min read
Photo by PowerPhilippines
Meralco, the country’s biggest power distributor targets a price hike in February after the implementation of the TRAIN Law that was signed by President Rodrigo Duterte early this year.
According to the Meralco head of utility economics Lawrence Fernandez., from P0.5 KWH the MERALCO will increase its rate to P0.8 KWH starting this February of 2018.
"If we use November 2017 dispatch levels…excise tax of coal and oil is around one centavo while the VAT (value-added tax) on transmission charge is 7 centavos. The total is 8 centavos," the head added.
Additionally, the recent law will create a chain reaction from increasing the tax of coal and oil which Meralco is using in generating electricity.
Futhermore, the electric price hike will be effective in the First week of February.